FISCAL NOTE
Date Requested: February 21, 2018 Time Requested: 03:02 PM |
Agency: |
Health and Human Resources, WV Department of |
CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
2286 |
Introduced |
SB442 |
|
CBD Subject: |
Insurance |
---|
|
FUND(S):
0403 - DIV OF HUMAN SERVICES GENERAL ADMINISTRATION FUND, 8722 - CONS FEDERAL FUNDS DIV HUMAN SERVICES GEN ADMN FD
Sources of Revenue:
Other Fund General & Federal
Legislation creates:
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The purpose of this bill is to establish universal forms and establish deadlines when a prior authorization is submitted electronically.
DHHR projects no additional state cost in SFY2019 from SB 442. DHHR has received estimates from the Medicaid Managed Care Organizations (MCO) of an estimated fiscal impact of $2,000,000 ($500,000 per MCO) to implement the requirements of SB442. This calculation has not been independently verified by the state and will not be accounted for in the SFY19 rate setting period.
Based upon administrative cost/utilization experienced during the SFY19 contract, any potential fiscal impact associated with this bill will be factored into the SFY2020 rate setting process. Currently, the state MCO contract permits 9.7% for administrative costs based on projected medical per member per month costs. The SSI population has a 7.7% allowable administrative cost.
Fiscal Note Detail
Effect of Proposal |
Fiscal Year |
2018 Increase/Decrease (use"-") |
2019 Increase/Decrease (use"-") |
Fiscal Year (Upon Full Implementation) |
1. Estmated Total Cost |
0 |
0 |
0 |
Personal Services |
0 |
0 |
0 |
Current Expenses |
0 |
0 |
0 |
Repairs and Alterations |
0 |
0 |
0 |
Assets |
0 |
0 |
0 |
Other |
0 |
0 |
0 |
2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
Memorandum
Person submitting Fiscal Note: Bill J. Crouch
Email Address: Bill.J.Crouch@wv.gov